Regardless of who wins the election, Gross expects stunted economic growth to continue.

"If we're looking at a 'new normal' economy of slow growth, then going forward asset markets have to reflect that growth and they have to reflect the zero percent interest rates," Gross said.

Gross, who earlier this year warned that equities would no longer enjoy the double-digit returns of the past, said, "We're looking at lower returns, it doesn't mean we're looking at bear markets. It means in terms of stocks and bonds, we're looking at three to six percent returns." (Read More:Bill Gross Is Latest to Join 'Stocks Are Dead' Club.)

He added, "This is not a double-digit type of returning market for any investor."